Legal Status and Regulatory Landscape of Virtual Currency Trading in Mainland China
Since 2021, regulatory policies on virtual currency trading and related financial activities in mainland China have been continuously tightened, forming a comprehensive ban. The People's Bank of China (PBOC) and other departments jointly issued notices clarifying that virtual currencies do not have legal tender status, and any business activities related to virtual currencies, including exchanges between legal tender and virtual currencies, exchanges between virtual currencies, acting as a central counterparty for virtual currency trading, providing information intermediary and pricing services, token issuance financing, and virtual currency-related financial product trading, are all deemed illegal financial activities. Overseas virtual currency exchanges providing services to residents in mainland China via the internet are also prohibited.
Subsequently, the Chinese government and regulatory agencies have repeatedly reiterated and strengthened this stance. For example, in May 2025, the Chinese government officially implemented a comprehensive ban on cryptocurrency trading and mining. In November 2025, the People's Bank of China (PBOC) led 13 departments in reiterating that virtual currency-related businesses are illegal financial activities. Most recently, in February 2026, the People's Bank of China (PBOC) and eight other departments once again jointly issued a document, explicitly stating that all virtual currency-related business activities are strictly prohibited within the country, and related illegal and criminal activities will be severely cracked down upon.
Legal Risks of Individual Holding and Trading Virtual Currencies
Under the current regulatory framework, simply holding virtual currencies (such as Bitcoin) by residents in mainland China is generally not considered illegal. However, once it involves trading, speculation, or engaging in illegal and criminal activities such as money laundering, fraud, or illegal fundraising through virtual currencies, severe legal consequences will be faced. Regulatory agencies believe that virtual currency trading and speculation activities disrupt economic and financial order, breed various illegal and criminal activities, and pose a threat to financial stability and the sovereignty of the RMB.
Therefore, for residents in mainland China, it is almost impossible to directly participate in Bitcoin "deposits" or transactions through legal channels. Any attempt to circumvent regulations and participate in virtual currency transactions through unofficial channels carries extremely high legal and financial risks, including but not limited to account freezes, funds being deemed illegal flows, falling victim to fraud, or asset losses.
Restrictions on Overseas Exchanges and Services for Mainland Chinese Users
Following the ban issued in 2021, several major global cryptocurrency exchanges, including Binance and OKX, have announced the delisting of mainland Chinese users and have closed deposit, crypto-to-crypto trading, and RMB OTC trading functions for mainland Chinese users. This means that these platforms no longer provide services to residents in mainland China.
While the Hong Kong Special Administrative Region implements a licensing system for virtual asset trading platforms, allowing compliant exchanges for users with legal identities to open accounts, this differs significantly from mainland China's regulatory policies, and Hong Kong's compliant services are only available to users who meet its regulatory requirements.
Conclusion and Risk Warning
In summary, given mainland China's comprehensive ban on virtual currency trading, there are currently no "easy-to-use and secure" legal virtual currency exchange apps within mainland China. Any platform claiming to provide such services in mainland China may be involved in illegal activities, and users participating in them will face serious legal and financial risks. This site reminds readers to strictly abide by local laws and regulations, fully understand and bear relevant risks, and refrain from participating in illegal financial activities.
